Key statements by Ueda during the press conference following the BOJ's decision to hike rates:
- Japan's economy continues to experience moderate growth, and core inflation is gradually approaching the 2% target.
- There is a risk of exceeding the inflation target due to more aggressive price and wage increases by companies, which necessitates vigilance and justifies further rate hikes.
- The Bank of Japan will consistently continue its monetary tightening cycle – gradually adjusting the degree of easing based on economic and price indicators.
- The phase of monetary policy has undergone a key shift: the short-term goal focuses on the sustainable and stable anchoring of inflation around 2%.
- No rigid schedule regarding the timing of future rate hikes. The Bank will assess the situation flexibly at each meeting, taking into account external risks (e.g., the Middle East or demand in the AI sector).
- Suggestion of continuing rate hikes despite dissenting opinions from some board members. Ueda signals that potential resistance from the dovish faction will not stop the Bank of Japan from executing its plan.
Maintaining a hawkish stance and refusing to yield to dissent within the board were interpreted by the market as a clear signal that further rate hikes are inevitable. In response to the BOJ Governor's remarks, the Japanese currency is trimming its earlier losses. The USDJPY exchange rate is sliding below the 157 level and the 38.2 retracement of the last downward wave. Despite this, the increase in USDJPY during today's session is quite substantial.
Yen loses ground after the BoJ decision
🏯Chart of the Day: Yen in a Trap. BoJ Hike That Weakened the Currency (18.09.2026)
Macro Calendar – Dovish BoJ Pivot and Key Data from Europe and the US
📊Morning Briefing: BoJ raises rates, but the yen paradoxically weakens (18.09.2026)
The material on this page does not constitute as financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other particular needs.
All the information provided, including opinions, market research, mathematical results and technical analyses published on the website or transmitted to you by other means is provided for information purposes only and should in no event be interpreted as an offer of, or solicitation for, a transaction in any financial instrument, nor should the information provided be construed as advice of legal or fiscal nature.
Any investment decisions you make shall be based exclusively on your level of understanding, investment objectives, financial situation or any other particular needs. Any decision to act on information published on the website or transmitted to you by other means is entirely at your own risk. You are solely responsible for such decisions.
If you are in doubt or are not sure that you understand a particular product, instrument, service, or transaction, you should seek professional or legal advice before trading.
Investing in OTC Derivatives carries a high degree of risk, as they are leveraged based products and often small movements in the market could lead to much larger movements in the value of your investment and this could work against you or for you. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary, seek independent advice.